The Hindu Business Line : Panel soon to promote jatropha for bio-diesel

The Union Minister for Petroleum & Natural Gas and Panchayati Raj, Mr Mani Shankar Aiyar, with the IOC Chairman, Mr S. Behuria, at a Bio-Diesel Conclave `Panchayats & Petroleum-Towards Bio-Diesel Economy' in the Capital on Saturday. - Kamal Narang

New Delhi , Nov. 5

THE Minister for Petroleum and Panchayati Raj, Mr Mani Shankar Aiyar, today announced that a high-level committee would be constituted to promote cultivation of jatropha and other plants, which could be used for bio-diesel production in the country.

The committee to be co-chaired by the Petroleum Secretary, Mr S.C. Tripathi, the Secretary Panchayati Raj, Mr B.S. Lalli, and Advisor - Planning Commission, Mr R. Mandal, and would include representatives from bodies such as National Vegetable Oil Development Board, National Rural Development Corporation among others. Speaking at the valedictory session of a one-day Bio-diesel Conclave on the theme `Panchayats and Petroleum — Towards Bio-diesel Economy', the Minister stressed that the successful implementation of bio-fuel programme depends on equal participation of all stakeholders.

The Minister said the National Rural Employment Guarantee scheme provides a major role of Panchayats in creating assets in rural areas and its provisions should be utilised for the promotion of bio-diesel.

Stating the true success of the plan would be reflected only when the country could cut imports of crude oil and spend that amount towards cultivation of jatropha, he said for 2004-05, the expenditure on crude import was Rs 1,17,000 crore. He said that the success of the plan to dope diesel with non-edible oil extracted from plants such as jatropha so as to cut imports, depends on the involvement of local bodies in the programme.

The Minister also touched upon the recently announced bio-diesel pricing policy, which stipulates that beginning January 2006, public sector oil marketing companies will have to purchase bio-diesel extracted from plants such as jatropha and pongamia for mixing with diesel at Rs 25 a litre.

Stating that the producer need not fear about the quality of the produce, he urged Panchayat representatives to grow jatropha or pongamia plants in waste lands. The jatropha seeds cost Rs 5 a kilo and the bio-diesel would be priced around Rs 18-20.

As per the policy, to begin with, 5 per cent oil from jatropha/pongamia (bio-diesel) would be mixed with diesel during trial runs and the percentage would be increased to 20 in phases.

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